[Adopted by the Township Committee of the Township of Wall 11-12-2003
by Ord. No. 33-2003. Amendments noted where applicable.]
As used in this chapter, the following terms shall have the meanings
indicated:
That portion of the assessed value of a property as it existed prior
to construction, improvement or conversion of a building or structure thereon,
which is exempted from taxation pursuant to this chapter.
A portion or all of the Township which has been determined to be
an area in need of rehabilitation or redevelopment pursuant to the Local Redevelopment
and Housing Law, P.L. 1992, c. 79 (N.J.S.A. 40A:12A-1 et al.).
The Tax Assessor of the Township.
A structure or part thereof used for research, office, industrial,
commercial, retail, recreation, hotel or motel facilities, or for any combination
thereof, which the Township Committee determines will tend to maintain or
provide gainful employment within the Township, assist in the economic development
of the Township, maintain or increase the tax base of the Township and maintain
or diversify and expand commerce within the Township.
Substantially ready for the intended use for which a building or
structure is constructed, improved or converted.
The provision of a commercial or industrial structure, or the enlargement
of the volume of an existing commercial or industrial structure by more than
30%, but shall not mean the conversion of an existing building or structure
to another use.
The modernization, rehabilitation, renovation, alteration or repair
of a commercial or industrial structure that does not increase the volume
of the structure by more than 30%.
The construction of a new facility or facilities to be used or occupied
by any person for research, office, industrial, commercial, retail, recreation
or hotel or motel facilities, or for any combination thereof, and which the
Township Committee determines will tend to maintain or provide gainful employment
within the Township, maintain or increase the tax base of the Township and
maintain or diversify and expand commerce within the Township. “Project”
shall also mean an enlargement of the volume of an existing structure by more
than 30%.
Exemptions may be granted for improvements to commercial or industrial
structures located in an area designated as an area in need of rehabilitation,
as same is defined pursuant to N.J.S.A. 40A:21-3, after applications are submitted
to the Township Committee for its review, evaluation and approval.
A.
The Assessor's full and true value of improvements
to a property granted approval for exemption pursuant to this chapter shall
not be assessed as increasing the value of such property for a period of five
years after the completion of such improvement(s), notwithstanding that the
value of the property to which the improvements are made is increased thereby.
B.
In no event shall the assessment on the property granted
the exemption be less than the assessment existing immediately prior to the
construction of the improvement(s), unless the structure(s) on the property
has incurred damage through action of the elements sufficient to warrant reduction
or the prior assessment is contested in accordance with the remedies provided
by law.
No exemption authorized pursuant to the provisions of this chapter shall
be granted or allowed except upon written application therefor filed with
and approved by the Township Committee. The Township Committee may grant an
exemption pursuant to this chapter if the project or improvements are consistent
with the applicable redevelopment plan; the applicant proposes to enhance
the aesthetics, design, public improvements, layout, facilities or other aspects
of the project beyond the minimum required by the applicable redevelopment
plan; and subject to the approval of the Planning Board with respect to the
development plan for the project. If approved by the Township Committee, the
granting of any such exemption shall be recorded and made a permanent part
of the official tax records of the Township, which record shall contain a
notice of the termination date of the exemption and the application of such
exemption in the event of a transfer of title to the property which is the
subject of such exemption.
Applicants for tax abatement, as provided in this chapter, shall provide
an application to the Township Committee setting forth:
A.
A general description of the project for which abatement
is sought, together with a description of the project enhancements to be included
in the event that an abatement is granted.
B.
A legal description of all real estate necessary for
the project.
C.
Plans, drawings and other documents as may be required
by the Township Committee to demonstrate the structure and design of the project.
D.
A description of the number, classes and type of employees
to be employed at the project site within two years of completion of the project.
E.
A statement of the reasons for seeking tax abatement
on the project and a description of the benefits to be realized by the Township
if a tax abatement is granted.
F.
Estimates of the cost of completing such project.
G.
A statement showing:
(1)
The real property taxes currently being assessed at the
project site;
(2)
Estimated tax payments that would be made annually by
the applicant on the project during the period of tax abatement; and
(3)
Estimated tax payments that would be made by the applicant
on the project during the first full year following the termination of the
tax abatement agreement.
H.
A description of any lease agreement between the applicant
and proposed users of the project, and a history and description of the users'
business.
I.
Such other pertinent information as the Township Committee
may require.
The Township Committee may enter into a written agreement with the applicant
for the abatement of local real property taxes as to premises located within
an area designated as in need of rehabilitation as defined pursuant to N.J.S.A.
40A:21-3. The agreement shall provide for the applicant to pay to the Township
in lieu of full property tax payments an amount equal to a percentage of taxes
otherwise due, according to the following schedule:
A.
In the first full calendar year after completion, no
payment in lieu of taxes otherwise due.
B.
In the second calendar year, an amount not less than
20% of taxes otherwise due.
C.
In the third calendar year, an amount not less than 40%
of taxes otherwise due.
D.
In the fourth calendar year, an amount not less than
60% of taxes otherwise due.
E.
In the fifth calendar year, an amount not less than 80%
of taxes otherwise due.
All tax abatement agreements entered into by the Township pursuant to
the terms of this chapter shall be in effect for a period of not more than
five years next following the date of completion of the project.
A.
If, during any tax year prior to the termination of the
tax agreement, the property owner ceases to operate or disposes of the property,
or fails to meet the conditions for qualifying as set forth in the written
agreement with the Township, then the tax which would have otherwise been
payable for each tax year shall become due and payable from such property
owner as if no exemption and abatement had been granted. The Township Committee
shall notify the property owner and the Tax Collector forthwith, and the Tax
Collector shall, within 15 days thereof, notify the owner of the property
of the amount of taxes due.
B.
However, with respect to the disposal of the property,
where it is determined that the new owner of the property will continue to
use the property pursuant to the conditions which qualified the property for
abatement, no tax shall be due, the exemption and the abatement shall continue
and the agreement shall remain in effect.
At the termination of an agreement for tax abatement authorized pursuant
to this chapter, a project shall be subject to all applicable real property
taxes as provided by applicable state law and/or ordinances of the Township,
provided that nothing herein shall be deemed to prohibit a project, at the
termination of an agreement for tax abatement, from qualifying for and receiving
the full benefits of any other tax preferences provided by state law.
